Leeds United Repays Debt to Shirt Sponsor

Enterprise Insurance, Leeds United’s shirt sponsor, has withdrawn its winding-up petition against the club after announcing it has been repaid a debt that it went to court to recover.

The insurance companywas in the process of challenging the football club in court on March 17, after loaning Leeds a seven-figure sum in 2012.

But it confirmed on Thursday it has settled its money dispute with Leeds, who paid the full sum claimed by Enterprise Insurance, plus interest and the costs of a hearing at Manchester’s High Court Chancery Division. The money owed to Leeds was paid to the shirt sponsor prior to the hearing, Enterprise Insurance said.

Solicitor Michael Ozon, representing Enterprise Insurance, said in a statement on Thursday: “Enterprise Insurance acted responsibly and with great care for the club. It offered to withdraw its petition on the basis that the club agreed to comply with its contractual obligations in relation to the payment of certain monies due. Despite repeated requests, no undertakings were given and the club simply failed to engage. Enterprise was left with no choice but to take action seeking injunctions to compel the club’s owners to comply.”

Italian Massimo Cellino is awaiting the go-ahead from the Football League to take control at Elland Road.

The Football League confirmed on Wednesday it is still in talks with Leeds over the club’s proposed £25million takeover by the businessman.